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“It’s really like around $20 billion notional traded in contracts per month, which is super, super low.” Steve Gregory, CEO of Binance.US 🇺🇸 breaks down why prediction markets are still small compared to broader crypto markets.

118,949 Aufrufe • vor 4 Monaten •via X (Twitter)

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DROPS E39: Worm - The permissionless truth machine Nass Diba studied quantum physics, worked at Facebook, then left to build in crypto. He's now building Worm - a permissionless prediction market on Solana with leverage. His thesis: prediction markets are the only mechanism that consistently surfaces truth, and they're about to matter more than ever. He grew up in Iran under a dictatorship. He watched state TV claim there was no inflation while the money in people's pockets shrank. That's not a metaphor for him - it's the problem he's building to solve. We talk about: - Why CNN and Fox both showed different election results in 2024 - Growing up in Iran and experiencing information asymmetry under dictatorship firsthand - Building a Poly Market Telegram mini app in September 2024 and getting 56,000 users overnight - Why 90% of those users weren't American - and what that revealed about the technology - How leverage works on prediction markets, why it took 9 months to build, and what liquidation actually means when there's no price - just probability - Why Polymarket and Kalshi are scratching the surface of what's possible - Prediction markets as the engagement layer for Web3 - and what Worm is launching on HyperLiquid HIP-4 And much more… Timestamps: 0:00 Introduction 1:17 Welcome to DROPS 1:57 Prediction Markets in 2026 3:08 Can the crowd be wrong? 4:26 Money Creates Better Truth Discovery 5:22 Who is Nass? 5:55 Growing up in Iran 6:52 Entered Crypto in 2019 8:05 Discovering Prediction Markets 10:08 Signal Behind the 2024 Elections 11:59 How Prediction Markets Disrupt Traditional Media 13:16 Traditional Media Prioritizes Incentives Over Truth 17:33 Polymarket vs Kalshi: Which Model Wins? 18:25 Why is Kalshi or Polymarket enough? 19:43 Lessons Learned Building on Polymarket 21:07 Building Worm on Solana 21:56 What Is Worm and its special elements? 23:36 How Leverage Works on Prediction Markets 25:29 Hedging 27:33 Prediction Markets vs Options & Perps 29:15 How Liquidations Work 31:13 Why Leverage is more than a Gimmick 33:04 Building Leverage Was Harder Than Expected 34:12 Solving Liquidity Problem 36:05 How Worm Acquires Users 36:59 Inflection Point for Prediction Markets 39:06 Why Worm chose Solana 40:24 Becoming the Hyperliquid of Prediction Markets 42:26 Solana vs Hyperliquid: Which Wins? 45:00 Conclusion

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31,088 Aufrufe • vor 2 Monaten

Prediction markets are a (poorly understood) multi-billion dollar industry. This Law of Code episode is a multi-hour deep dive on prediction markets, from conclave betting in 15th century Rome to proposed rulemaking from the CFTC earlier this month. My goal: the internet's most comprehensive explainer on prediction markets. I spent several months and over 100 hours on this podcast, and spoke to the world's leading experts on the legal layer of prediction markets: robertjdenault, Daniel Wallach, Stefan Schropp, Sam Enzer, Paul Grewal, Brad Bourque, Thania Charmani, Michael Passalacqua, Joshua Sterling, Jeff Amico, as well as Koleman Strumpf, Matt Kalish, with clips from prior conversations with Chris Giancarlo, Dustin Gouker. By the end of this episode, I promise you'll be in the top percentile for understanding prediction markets, regardless of your starting point. (You just might want to listen twice. There's a lot here.) 0:00 Intro 1:40 16th century papal betting Koleman Strumpf 11:13 Insider trading rules robertjdenault 16:20 The Google insider case 27:38 Why prediction markets matter Chris Giancarlo 33:20 Election betting in America 44:50 Iowa Electronic Markets 52:11 Dodd-Frank, swaps and the Special Rule 54:23 Senator Lincoln on sports contracts 1:02:04 Parlays as swaps 1:07:38 CFTC's exclusive jurisdiction Thania Charmani 1:13:45 Perspective on CFTC's NPRM Michael Passalacqua 1:21:10 Exceptions that swallow the rule Paul Grewal 1:33:40 How prediction markets actually work 1:42:20 Kalshi's fee structure 1:44:33 Cardi B and the resolution problem Dustin Gouker 1:51:20 Polymarket's decentralized resolution Jeff Amico 1:58:10 The Ninth Circuit case 2:14:04 CFTC's proposed rulemaking Brad Bourque, Stefan Schropp 2:25:21 Kalshi's landmark 2024 win 2:29:20 PASPA, Murphy v. NCAA Daniel Wallach 2:51:29 The case against banning prediction markets robertjdenault Nothing in this podcast is legal or investment advice. Thank you to the sponsors of this episode, Cahill Gordon & Reindel LLP (Lewis Cohen), Hyperliquid Policy Center and .

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